Health insurance, building improvements raise school budgets

Many area school districts are feeling the crunch this month as their 2003-04 budgets are up for a final vote, meaning an increase in property taxes for some residents.

While some are waiting to the very last deadline of June 30, others have approved their budgets early.

Three area school boards approved their final budgets already with no tax increase for the upcoming year.

Salisbury-Elk Lick approved its final $4.46 million budget Wednesday for the 2003-04 school year and kept the tax millage at 23.11 mills.

Jay McClatchey of the Shanksville-Stonycreek School Board, said the members voted Tuesday to accept their $5.1 million budget without a tax increase.

"We are currently at 30.7 mills and felt that we would give the taxpayers a break this year," he said. "Out budget did have to dip into the fund balance, but we did have an adequate surplus from this year to help offset the costs."

Those in the Windber Area School District also are facing budget increases, but anticipate no increase in property taxes.

At $13.8 million, it includes an increase of more than $641,000. Nearly $500,000 will be relieved from a budget surplus for the 2002-03 school year.

Health care costs for the district increased 35 percent for the upcoming year.

Turkeyfoot Valley's board members approved their second reading of the $3.6 million budget and are looking toward the final approval before June 30.

According to board president Mike Diehl, despite holding the millage, the district also faced similar issues of insurance cost increases as other area districts.

"Well, we rose taxes one mill last year, but that was the first we did in 12 or 13 years," he said.

School superintendent Ron Keefer said that this year's budget saw a slight increase from last year.

"Last year we had about $3.2 million," he said. "We did see an increase, but it hasn't been as bad as other districts."

Residents in other county school districts may have to dig a little deeper in their own pockets to fund increasing health insurance costs, retirement costs, and in some cases, anticipated contract settlements.

Currently, those in the North Star School District could see a 5.5-mill increase for the upcoming year.

According to board member Wayne Lohr, the proposed hike is due to the increase in insurance costs and building renovations.

"We knew that we would be raising taxes at least a half of a mill," he said. "That was to help fund the Boswell (elementary school) project."

Lohr said the board had expected to raise taxes for that amount in 2002-03, 2003-04 and 2004-05 school years.

"That we had planned for, it was just the other costs that really killed us," he said.

Lohr added that the district also is negotiating a new teachers' contract with the teachers' union.

"Many of the numbers are not official in any case," he said. "We anticipated a 5.5-mill increase, but that is more than likely to go down."

The board members are planning to take a vote at their June 24 meeting.

Teachers in the Somerset Area School District also are negotiating a contract, but unlike North Star, their contract expired three years ago this month.

To cover anticipated costs for health insurance, retirement costs and retroactively since the last contract ended, the board members are proposing a 4-mill increase.

According to board president John Coleman, the board has asked the administration and all department leaders to trim costs.

"If we can't trim our budget, it will fall on the homeowners to trim something from their budgets to pay the 15 percent tax increase," he said.

To combat those costs, the district is looking to cut costs in other areas, including a possible wage freeze for administrators and managers for the 2003-04 school year.

Based on figures presented by the district's business manager Richard Whipkey, the 2003-04 budget is roughly $28.2 million, up nearly $4.5 million from last year.

Currently, the millage is at 26.5 mills. With the proposed increase, it will top 30.5 mills.

The board members are planning to take a vote at their June 30 meeting.

Property owners living in the Berlin-Brothersvalley School District could face paying an average of $125 next year in taxes.

The school board members are proposing a 2.5-mill increase, as recommended by the district's superintendent Wayne Henderson.

Currently, the millage rests at 18 mills. With the proposed increase, the millage would rise to 20.5 mills.

District Business Manager Greg Beals presented the board with a budget that included several uncertainties as they wait for the final budget approved by the state.

Beals noted an estimated $9.67 million in expenses and just $8.25 million in revenue.

According to Beals, an average homeowner with a home valued at $50,000, is paying $1,025 each year in taxes.

With the millage increase, that same homeowner would pay about $125 more next year.